Are you Paying More for Home Insurance?

Did you pay more for insurance in 2012? If you did, you're not alone. According to a survey completed by Bankrate, 37% of respondents paid more for home, health, auto, or life insurance this past year as compared to 2011. As I read the report, the thing that struck me the most was a statement made by J. Robert Hunter, director of insurance for the Consumer Federation of America. He said this:

"I'd guess more than half probably had premium increases and just don't realize it," he says. "Consumers are buying insurance in six-month pieces instead of annually, and insurance companies have taken advantage of that. Instead of raising rates 10 percent every two years, they raise them 2.5 percent every six months, and people don't notice that."

I hope you caught that. "I'd guess more than half probably had premium increases and just don't realize it." So what about your insurance rates? Did they go up? Were you aware that they increased over the previous year? I strongly encourage you to find out where your money is going.

Overpaying for insurance might be one more road block for your home ownership dreams.